USD/JPY now seems to have moved into a consolidation phase – UOB
|USD/JPY is expected to navigate between 130.50 and 134.60 in the next weeks comment Economist Lee Sue Ann and Markets Strategist Quek Ser Leang at UOB Group.
Key Quotes
24-hour view: “We did not anticipate the strong rebound in USD to a high of 132.62 yesterday (we were expecting USD to test the major support at 130.45). While there is room for USD to rebound further, any advance is unlikely to break 133.50. Support is at 132.00, followed by 131.50.”
Next 1-3 weeks: “We have expected USD to weaken since early last week. After USD dropped to 130.52, we highlighted yesterday (21 Mar, spot at 131.20) that a break of 130.45 would not be surprising. However, USD rebounded sharply and took out our ‘strong resistance’ level at 132.60 (high of 132.62). The breach of the ‘strong resistance’ level indicates that the more than weeklong USD weakness has ended. From here, USD is likely to trade in broad range, expected to be between 130.50 and 134.60.”
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.